Japanese automaker Honda Motor Co. has recently denied rumors alleging that will buy Harley-Davidson Inc., which caused share the U.S. motorcycle maker increase in New York last Friday.
But in case Honda and Harley combined, their union would be able to control 65 percent of the motorcycle market U.S. while its main competitor Yamaha will be next to only 16 percent. That kind of strength in the market for motorcycles are not sure please the Commission Federal Trade.
Honda, through its spokesman Yoshida has expanded its position on the issue. Honda spokeswoman Makiko Yoshida in Tokyo last Monday, "There is absolutely no truth in it."
Amid questions from analysts and market participants, shares of Harley-Davidson and the options were able to increase the options last Friday that 58,535 is fourteen times the daily average is based on figures collected by market research firm Track Data.
RBC Capital Market Analyst, Edward Aaron said in an interview with Forbes.com last Friday said: "I would be surprised if there was a Honda and Harley-Davidson combination, basically for regulatory and cultural reasons. "He added," Harley is an icon, the American brand. I do not think it would be a major attack if they were under the ownership of a larger corporation in Japan. "
Aaron also said it was unlikely to become Harley the target of an acquisition. He said: "Although an LBO is more plausible that a merger with the Honda, the mathematics behind this transaction is not convincing. "And then Harley and is a well run company with a high-margin profile and is not a good deal for an investor LBO Shell out a significant premium and be able to generate adequate returns.
Share Harley won both the 6.4 percent before closing the meeting last Friday of $ 2.43 or 4 percent to $ 62.55 on the NYSE. On the other hand, shares of Honda, the world's largest motorcycle manufacturer and producer of high quality the Honda exhaust system have gained very little increase in Tokyo, with only 0.5 percent last Monday at ¥ 4,420.
Honda Tips
During the past 50 years, Honda has made his career as a training ground for questioning the capacity of its two engineers and designers. Soichiro Honda, said that the pressures people obtain careers are encouraged to seek innovative solutions and demands quick and accurate answers to new problems not encountered before.
This is also the reason why the race is embedded in Honda's corporate culture. Apart from the races also teaches people to work in harmony each other, because in racing no one individual can bring success to the team because it is a group effort.
Totally the history of Honda racing or in two or four wheels, the Japanese manufacturer has been able to win at the highest levels. From the Isle of Man TT motorcycle race on the Formula One Grand Prix, Honda was able to obtain 60 victories and four consecutive Constructors Championships 1988 to 1991. Several models of Honda are shown in lanes of victory around the world.
About the Author:
Evander Klum is a Business Administration graduate who hails from Alabama. He enjoys extreme sports and he is also a car racing fanatic. At present, he works as a marketing manager at an advertising agency in Cleveland.
Article Source: ArticlesBase.com – Honda Will not be Buying Harley-davidson
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